IAASB issues new standard on going concern

In November 2024, the International Auditing and Assurance Standards Board (IAASB) issued International Standard on Auditing 570 (Revised 2024), Going Concern, Including Conforming and Consequential Amendments to Other International Standards on Auditing (ISAs) in response to corporate failures worldwide and global challenges, such as war and pandemics, that have increased focus on going concern.

ISA 570 (Revised 2024) strengthens the auditor’s responsibilities related to going concern by enhancing the auditor’s work in evaluating management’s assessment of an entity’s ability to continue as a going concern and other areas. The revised standard will also increase transparency through communications and auditor reporting on matters related to going concern.

ISA 570 (Revised 2024) is effective for audits of financial statements for periods beginning on or after December 15, 2026.